THE STANDARD By
Peter Theuri |
December 21st 2020 at 10:00:48 GMT +0300
Work in progress at Avoveg Limited, a company dealing in the processing and export of horticultural produce, during the company s post-COVID-19, phased reopening of business to local and international markets. [David Njaaga, Standard]
Manufacturers’ lobby has warned that the move to start taxing small businesses turnover tax will have a huge impact on their business operations.
The Kenya Association of Manufacturers (KAM) now wants the minimum tax abolished or suspended, until when effects of the Covid-19 pandemic, which has affected the economy, is managed.
The manufacturers argue the introduction of the minimum tax will hurt the economy and reduce Kenya’s attractiveness to investors. “Introduction of a new tax based on turnover will hurt a company’s financial well-being such as creating cash flow constraints,” noted the manufacturers’ body.